Chapter 35-Work Set TRUE-FALSE QUESTIONS 1. Risk management involves the transfer of certain risks from an individual or a business to an insurance company 2. Insurance is classified by the nature of the person or interest protected. 3. An insurance broker is an agent of an insurance company. 4. An insurance applicant is usually protected from the time an application is made, if a premium has been paid, possibly subject to certain conditions. 5. A person can insure anything in which he or she has an insurable interest. 6. An application for insurance is not part of the insurance contract. 7. The insurable interest in life insurance must exist at the time the policy is obtained. 8. An antilapse clause provides that an insurance policy lapses if the insured does not pay a premium exactly on time. 9. In courts, the words used in an insurance policy are given special meaning